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For speakers that will stay within your budget look at Yambeka. I would not go with anything less than the Onkyo 707 as it has pre outs and gives you the ability to add an external amplifier down the road to power your speakers so in essence you then use the 707 as a processor only.
SVS makes some of the best subs around and are a real bargain. They also make really good speakers but that may blow your budget.
SVS makes some of the best subs around and are a real bargain. They also make really good speakers but that may blow your budget.